Collapse to view only § 7703b. Assistance to local educational agencies that benefit dependents of members of the Armed Forces and Department of Defense civilian employees

§ 7701. Purpose
In order to fulfill the Federal responsibility to assist with the provision of educational services to federally connected children in a manner that promotes control by local educational agencies with little or no Federal or State involvement, because certain activities of the Federal Government, such as activities to fulfill the responsibilities of the Federal Government with respect to Indian tribes and activities under section 4001 of title 50, place a financial burden on the local educational agencies serving areas where such activities are carried out, and to help such children meet the same challenging State academic standards, it is the purpose of this subchapter to provide financial assistance to local educational agencies that—
(1) experience a substantial and continuing financial burden due to the acquisition of real property by the United States;
(2) educate children who reside on Federal property and whose parents are employed on Federal property;
(3) educate children of parents who are in the military services and children who live in low-rent housing;
(4) educate heavy concentrations of children whose parents are civilian employees of the Federal Government and do not reside on Federal property; or
(5) need special assistance with capital expenditures for construction activities because of the enrollments of substantial numbers of children who reside on Federal lands and because of the difficulty of raising local revenue through bond referendums for capital projects due to the inability to tax Federal property.
(Pub. L. 89–10, title VII, § 7001, formerly title VIII, § 8001, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3749; amended Pub. L. 106–398, § 1 [[div. A], title XVIII, § 1802], Oct. 30, 2000, 114 Stat. 1654, 1654A–368; Pub. L. 108–189, § 2(f), Dec. 19, 2003, 117 Stat. 2866; renumbered title VII, § 7001, and amended Pub. L. 114–95, title VII, §§ 7001(c)(1), 7002, Dec. 10, 2015, 129 Stat. 2074, 2075.)
§ 7702. Payments relating to Federal acquisition of real property
(a) In generalWhere the Secretary, after consultation with any local educational agency and with the appropriate State educational agency, determines—
(1) that the United States owns Federal property in the local educational agency, and that such property—
(A) has been acquired by the United States since 1938;
(B) was not acquired by exchange for other Federal property in the local educational agency which the United States owned before 1939; and
(C) had an assessed value according to original records (including facsimiles or other reproductions of those records) documenting the assessed value of such property (determined as of the time or times when so acquired) prepared by the local officials referred to in subsection (b)(3) or, when such original records are not available due to unintentional destruction (such as natural disaster, fire, flooding, pest infestation, or deterioration due to age), other records, including Federal agency records, local historical records, or other records that the Secretary determines to be appropriate and reliable, aggregating 10 percent or more of the assessed value of—
(i) all real property in the local educational agency (similarly determined as of the time or times when such Federal property was so acquired); or
(ii) all real property in the local educational agency as assessed in the first year preceding or succeeding acquisition, whichever is greater, only if—(I) the assessment of all real property in the local educational agency is not made at the same time or times that such Federal property was so acquired and assessed; and(II) State law requires an assessment be made of property so acquired; and
(2) that such agency is not being substantially compensated for the loss in revenue resulting from such ownership by increases in revenue accruing to the agency from the conduct of Federal activities with respect to such Federal property,
then such agency shall be eligible to receive the amount described in subsection (b) or (h).
(b) Amount
(1) In general
(A)
(i)(I) Subject to subclauses (II) and (III), the amount that a local educational agency shall be paid under subsection (a) for a fiscal year shall be calculated in accordance with paragraph (2).(II) Except as provided in subclause (III), the Secretary may not reduce the amount of a payment under this section to a local educational agency for a fiscal year by (aa) the amount equal to the amount of revenue, if any, the agency received during the previous fiscal year from activities conducted on Federal property eligible under this section and located in a school district served by the agency, including amounts received from any Federal department or agency (other than the Department of Education) from such activities, by reason of receipt of such revenue, or (bb) any other amount by reason of receipt of such revenue.(III) If the amount equal to the sum of (aa) the proposed payment under this section to a local educational agency for a fiscal year and (bb) the amount of revenue described in subclause (II)(aa) received by the agency during the previous fiscal year, exceeds the maximum amount the agency is eligible to receive under this section for the fiscal year involved, then the Secretary shall reduce the amount of the proposed payment under this section by an amount equal to such excess amount.
(ii) For purposes of clause (i), the amount of revenue that a local educational agency receives during the previous fiscal year from activities conducted on Federal property shall not include payments received by the agency from the Secretary of Defense to support—(I) the operation of a domestic dependent elementary or secondary school; or(II) the provision of a free public education to dependents of members of the Armed Forces residing on or near a military installation.
(B) If funds appropriated under section 7714(a) of this title are insufficient to pay the amount determined under subparagraph (A), the Secretary shall calculate the payment for each eligible local educational agency in accordance with subsection (h).
(C) Notwithstanding any other provision of this subsection, a local educational agency may not be paid an amount under this section that, when added to the amount such agency receives under section 7703(b) of this title, exceeds the maximum amount that such agency is eligible to receive for such fiscal year under section 7703(b)(1)(C) of this title, or the maximum amount that such agency is eligible to receive for such fiscal year under this section, whichever is greater.
(2) Application of current levied real property tax rate
(3) Determination of taxable value for eligible Federal property
(A) In generalIn determining the estimated taxable value of such acquired Federal property for fiscal year 2010 and each succeeding fiscal year, the Secretary shall—
(i) first determine the total taxable value for the purpose of levying property tax for school purposes for current expenditures of real property located within the boundaries of such local educational agency;
(ii) then determine the per acre value of the eligible Federal property by dividing the total taxable value as determined in clause (i) by the difference between the total acres located within the boundaries of the local educational agency and the number of Federal acres eligible under this section; and
(iii) then determine the total taxable value of the eligible Federal property by multiplying the per acre value as calculated under clause (ii) by the number of Federal acres eligible under this section.
(B) Special ruleIn the case of Federal property eligible under this section that is within the boundaries of 2 or more local educational agencies that are eligible under this section, any of such agencies may ask the Secretary to calculate (and the Secretary shall calculate) the taxable value of the eligible Federal property that is within its boundaries by—
(i) first calculating the per-acre value of the eligible Federal property separately for each eligible local educational agency that shared the Federal property, as provided in subparagraph (A)(ii);
(ii) then averaging the resulting per-acre values of the eligible Federal property from each eligible local educational agency that shares the Federal property; and
(iii) then applying the average per-acre value to determine the total taxable value of the eligible Federal property under subparagraph (A)(iii) for the requesting local educational agency.
(c) Applicability to Tennessee Valley Authority Act
(d) Ownership by United StatesThe United States shall be deemed to own Federal property for the purposes of this chapter, where—
(1) prior to the transfer of Federal property, the United States owned Federal property meeting the requirements of subparagraphs (A), (B), and (C) of subsection (a)(1); and
(2) the United States transfers a portion of the property referred to in paragraph (1) to another nontaxable entity, and the United States—
(A) restricts some or any construction on such property;
(B) requires that the property be used in perpetuity for the public purposes for which the property was conveyed;
(C) requires the grantee of the property to report to the Federal Government (or its agent) regarding information on the use of the property;
(D) except with the approval of the Federal Government (or its agent), prohibits the sale, lease, assignment, or other disposal of the property unless such sale, lease, assignment, or other disposal is to another eligible government agency; and
(E) reserves to the Federal Government a right of reversion at any time the Federal Government (or its agent) deems it necessary for the national defense.
(e) Local educational agency containing Forest Service land and serving certain countiesBeginning with fiscal year 1995, a local educational agency shall be deemed to meet the requirements of subsection (a)(1)(C) if such local educational agency meets the following requirements:
(1) Acreage and acquisition by the Forest Service
(2) County charter
(f) Special rule
(g) Former districts
(1) Consolidations
(2) Eligible local educational agenciesA local educational agency referred to in paragraph (1) is—
(A) any local educational agency that, for fiscal year 1994 or any preceding fiscal year, applied, and was determined to be eligible under, section 2(c) of the Act of September 30, 1950 (Public Law 874, 81st Congress) as that section was in effect for that fiscal year; or
(B) a local educational agency—
(i) that was formed by the consolidation of 2 or more districts, at least 1 of which was eligible for assistance under this section for the fiscal year preceding the year of the consolidation; and
(ii) which includes the designation referred to in paragraph (1) in its application under section 7705 of this title for a fiscal year beginning on or after December 10, 2015, or any timely amendment to such application.
(3) Amount
(h) Payments with respect to fiscal years in which insufficient funds are appropriatedFor any fiscal year for which the amount appropriated under section 7714(a) of this title is insufficient to pay to each eligible local educational agency the full amount determined under subsection (b), the Secretary shall make payments to each local educational agency under this section as follows:
(1) Foundation payments for pre-2010 recipients
(A) In general
(B) Amount
(i) In general
(ii) Exception
(C) Insufficient appropriations
(2) Foundation payments for new applicants
(A) First year
(B) Second and succeeding years
(C) AmountsThe amount of a payment under subparagraph (A) for a local educational agency shall be determined as follows:
(i) Calculate the local educational agency’s maximum payment under subsection (b).
(ii) Calculate the percentage that the amount appropriated under section 7714(a) of this title for the most recent fiscal year for which the Secretary has completed making payments under this section is of the total maximum payments for such fiscal year for all local educational agencies eligible for a payment under subsection (b) and multiply the agency’s maximum payment by such percentage.
(iii) Multiply the amount determined under clause (ii) by 90 percent.
(D) Insufficient funds
(3) Remaining funds
(4) Data
(i) Special payments
(1) In general
(2) Local educational agency describedA local educational agency described in this paragraph is a local educational agency that—
(A) received a payment under this section for fiscal year 1996;
(B) serves a school district that contains all or a portion of a United States military academy;
(C) serves a school district in which the local tax assessor has certified that at least 60 percent of the real property is federally owned; and
(D) demonstrates to the satisfaction of the Secretary that such agency’s per-pupil revenue derived from local sources for current expenditures is not less than that revenue for the preceding fiscal year.
(j) Prior year dataNotwithstanding any other provision of this section, in determining the eligibility of a local educational agency for a payment under subsection (b) or (h)(2) of this section for a fiscal year, and in calculating the amount of such payment, the Secretary—
(1) shall use data from the prior fiscal year with respect to the Federal property involved, including data with respect to the assessed value of the property and the real property tax rate for current expenditures levied against or imputed to the property; and
(2) shall use data from the second prior fiscal year with respect to determining the amount of revenue referred to in subsection (b)(1)(A)(i).
(k) Loss of eligibility
(1) In general
(2) Local educational agency describedA local educational agency described in this paragraph is an agency that—
(A) was eligible for, and received, a payment under this section for fiscal year 2002; and
(B) beginning in fiscal year 2003 or a subsequent fiscal year, is no longer eligible for payments under this section as provided for in subsection (a)(1)(C) as a result of the transfer of the Federal property involved to a non-Federal entity.
(Pub. L. 89–10, title VII, § 7002, formerly title VIII, § 8002, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3749; amended Pub. L. 104–195, §§ 1, 6, Sept. 16, 1996, 110 Stat. 2379, 2382; Pub. L. 105–18, title VI, §§ 60004, 60006, June 12, 1997, 111 Stat. 214, 215; Pub. L. 105–78, title III, Nov. 13, 1997, 111 Stat. 1498; Pub. L. 105–277, div. A, § 101(f) [title III], Oct. 21, 1998, 112 Stat. 2681–337, 2681–365; Pub. L. 106–113, div. B, § 1000(a)(4) [title III], Nov. 29, 1999, 113 Stat. 1535, 1501A–247; Pub. L. 106–398, § 1 [[div. A], title XVIII, § 1803], Oct. 30, 2000, 114 Stat. 1654, 1654A–369; Pub. L. 107–110, title VIII, § 801(a)–(e), Jan. 8, 2002, 115 Stat. 1947, 1948; Pub. L. 108–447, div. F, title III, § 305, Dec. 8, 2004, 118 Stat. 3151; Pub. L. 112–239, div. A, title V, § 563(b)(1), (c)(4), Jan. 2, 2013, 126 Stat. 1744, 1748; renumbered title VII, § 7002, and amended Pub. L. 114–95, title VII, §§ 7001(a)(1), (c)(1), (d)(6), (9), 7003, Dec. 10, 2015, 129 Stat. 2074, 2075.)
§ 7703. Payments for eligible federally connected children
(a) Computation of payment
(1) In generalFor the purpose of computing the amount that a local educational agency is eligible to receive under subsection (b) or (d) for any fiscal year, the Secretary shall determine the number of children who were in average daily attendance in the schools of such agency, and for whom such agency provided free public education, during the preceding school year and who, while in attendance at such schools—
(A)
(i) resided on Federal property with a parent employed on Federal property situated in whole or in part within the boundaries of the school district of such agency; or
(ii) resided on Federal property with a parent who is an official of, and accredited by, a foreign government and is a foreign military officer;
(B) resided on Federal property and had a parent on active duty in the uniformed services (as defined in section 101 of title 37);
(C) resided on Indian lands;
(D)
(i) had a parent on active duty in the uniformed services (as defined by section 101 of title 37) but did not reside on Federal property; or
(ii) had a parent who is an official of, and has been accredited by, a foreign government and is a foreign military officer but did not reside on Federal property;
(E) resided in low-rent housing;
(F) resided on Federal property and is not described in subparagraph (A) or (B); or
(G) resided with a parent employed on Federal property situated—
(i) in whole or in part in the county in which such agency is located, or in whole or in part in such agency if such agency is located in more than one county; or
(ii) if not in such county, in whole or in part in the same State as such agency.
(2) Determination of weighted student unitsFor the purpose of computing the basic support payment under subsection (b), the Secretary shall calculate the total number of weighted student units for a local educational agency by adding together the results obtained by the following computations:
(A) Multiply the number of children described in subparagraphs (A) and (B) of paragraph (1) by a factor of 1.0.
(B) Multiply the number of children described in paragraph (1)(C) by a factor of 1.25.
(C) Multiply the number of children described in subparagraphs (A) and (B) of paragraph (1) by a factor of .35 if the local educational agency has—
(i) a number of such children described in such subparagraphs which exceeds 5,000; and
(ii) an average daily attendance for all children which exceeds 100,000.
(D) Multiply the number of children described in subparagraph (D) of paragraph (1) by a factor of .20.
(E) Multiply the number of children described in subparagraph (E) of paragraph (1) by a factor of .10.
(F) Multiply the number of children described in subparagraphs (F) and (G) of paragraph (1) by a factor of .05.
(3) Special rule
(4) Military installation and Indian housing undergoing renovation or rebuilding
(A) Military installation housingBeginning in fiscal year 2014, in determining the amount of a payment for a local educational agency for children described in paragraph (1)(D)(i), the Secretary shall consider those children as if they were children described in paragraph (1)(B) if the Secretary determines, on the basis of a certification provided to the Secretary by a designated representative of the Secretary of Defense, that those children would have resided in housing on Federal property if the housing was not undergoing renovation or rebuilding. The total number of children treated as children described in paragraph (1)(B) shall not exceed the lessor of—
(i) the total number of children eligible under paragraph (1)(B) for the year prior to the initiation of the housing project on Federal property undergoing renovation or rebuilding; or
(ii) the total number of Federally connected children enrolled at the local educational agency as stated in the application filed for the payment for the year for which the determination is made.
(B) Indian landsBeginning in fiscal year 2014, in determining the amount of a payment for a local educational agency that received a payment for children that resided on Indian lands in accordance with paragraph (1)(C) for the fiscal year prior to the fiscal year for which the local educational agency is making an application, the Secretary shall consider those children to be children described in paragraph (1)(C) if the Secretary determines on the basis of a certification provided to the Secretary by a designated representative of the Secretary of the Interior or the Secretary of Housing and Urban Development that those children would have resided in housing on Indian lands if the housing was not undergoing renovation or rebuilding. The total number of children treated as children described in paragraph (1)(C) shall not exceed the lessor of—
(i) the total number of children eligible under paragraph (1)(C) for the year prior to the initiation of the housing project on Indian lands undergoing renovation or rebuilding; or
(ii) the total number of Federally connected children enrolled at the local educational agency as stated in the application filed for the payment for the year for which the determination is made.
(C) Eligible housing
(5) Military “Build to Lease” program housing
(A) In generalFor purposes of computing the amount of payment for a local educational agency for children identified under paragraph (1), the Secretary shall consider children residing in housing initially acquired or constructed under the former section 2828(g) of title 10 (commonly known as the “Build to Lease” program), as added by section 801 of the Military Construction Authorization Act, 1984, or under lease of off-base property under subchapter IV of chapter 169 of title 10, to be children described under paragraph (1)(B), if the property described is—
(i) within the fenced security perimeter of the military facility; or
(ii) attached to, and under any type of force protection agreement with, the military installation upon which such housing is situated.
(B) Additional requirementsIf the property described in subparagraph (A) is not owned by the Federal Government, is subject to taxation by a State or political subdivision of a State, and thereby generates revenues for a local educational agency that is applying to receive a payment under this section, then the Secretary—
(i) shall require the local educational agency to provide certification from an appropriate official of the Department of Defense that the property is being used to provide military housing; and
(ii) shall reduce the amount of the payment under this section by an amount equal to the amount of revenue from such taxation received in the second preceding fiscal year by such local educational agency, unless the amount of such revenue was taken into account by the State for such second preceding fiscal year and already resulted in a reduction in the amount of State aid paid to such local educational agency.
(b) Basic support payments; insufficient appropriations; State with only one local educational agency
(1) Basic support payments
(A) In general
(B) EligibilityA local educational agency is eligible to receive a basic support payment under subparagraph (A) for a fiscal year with respect to a number of children determined under subsection (a)(1) only if the number of children so determined with respect to such agency amounts to the lesser of—
(i) at least 400 such children; or
(ii) a number of such children which equals at least 3 percent of the total number of children who were in average daily attendance, during such year, at the schools of such agency and for whom such agency provided free public education.
(C) Maximum amountThe maximum amount that a local educational agency is eligible to receive under this paragraph for any fiscal year is the sum of the total weighted student units, as computed under subsection (a)(2), multiplied by the greater of—
(i) one-half of the average per-pupil expenditure of the State in which the local educational agency is located for the third fiscal year preceding the fiscal year for which the determination is made;
(ii) one-half of the average per-pupil expenditure of all of the States for the third fiscal year preceding the fiscal year for which the determination is made;
(iii) the comparable local contribution rate certified by the State, as determined under regulations prescribed to carry out the Act of September 30, 1950 (Public Law 874, 81st Congress), as such regulations were in effect on January 1, 1994; or
(iv) the average per-pupil expenditure of the State in which the local educational agency is located, multiplied by the local contribution percentage.
(D) Data
(E) Increase in local contribution rate due to unusual geographic factors
(F) Beginning with fiscal year 2002, for the purpose of calculating a payment under this paragraph for a local educational agency whose local contribution rate was computed under subparagraph (C)(iii) for the previous year, the Secretary shall use a local contribution rate that is not less than 95 percent of the rate that the LEA received for the preceding year.
(2) Basic support payments for heavily impacted local educational agencies
(A) In general
(i) From the amount appropriated under section 7714(b) of this title for a fiscal year, the Secretary is authorized to make basic support payments to eligible heavily impacted local educational agencies with children described in subsection (a).
(ii) A local educational agency that receives a basic support payment under this paragraph for a fiscal year shall not be eligible to receive a basic support payment under paragraph (1) for that fiscal year.
(B) Eligibility for heavily impacted local educational agencies
(i) In generalA heavily impacted local educational agency is eligible to receive a basic support payment under subparagraph (A) with respect to a number of children determined under subsection (a)(1) if the agency—(I) is a local educational agency—(aa) whose boundaries are the same as a Federal military installation; or(bb)(AA) whose boundaries are the same as an island property designated by the Secretary of the Interior to be property that is held in trust by the Federal Government; and(BB) that has no taxing authority;(II) is a local educational agency that—(aa) has an enrollment of children described in subsection (a)(1) that constitutes a percentage of the total student enrollment of the agency that is not less than 45 percent;(bb) has a per-pupil expenditure that is less than—(AA) for an agency that has a total student enrollment of 500 or more students, 125 percent of the average per-pupil expenditure of the State in which the agency is located; or(BB) for any agency that has a total student enrollment of less than 500 students, 150 percent of the average per-pupil expenditure of the State in which the agency is located or the average per-pupil expenditure of 3 or more comparable local educational agencies in the State in which the agency is located; and(cc) is an agency that has a tax rate for general fund purposes that is not less than 95 percent of the average tax rate for general fund purposes of comparable local educational agencies in the State;(III) is a local educational agency that—(aa) has a tax rate for general fund purposes which is not less than 125 percent of the average tax rate for general fund purposes for comparable local educational agencies in the State;(bb)(AA) has an enrollment of children described in subsection (a)(1) that constitutes a percentage of the total student enrollment of the agency that is not less than 30 percent; or(BB) has an enrollment of children described in subsection (a)(1) that constitutes a percentage of the total student enrollment of the agency that is not less than 20 percent, and for the 3 fiscal years preceding the fiscal year for which the determination is made, the average enrollment of children who are not described in subsection (a)(1) and who are eligible for a free or reduced price lunch under the Richard B. Russell National School Lunch Act [42 U.S.C. 1751 et seq.] constitutes a percentage of the total student enrollment of the agency that is not less than 65 percent and received assistance for fiscal year 2017 pursuant to subparagraph (G); and(cc) received assistance under subparagraph (A) of section 7703(b)(2) of this title,1
1 See References in Text note below.
as such section was in effect on the day before December 10, 2015, for a fiscal year prior to fiscal year 2017;
(IV) is a local educational agency that received a payment for fiscal year 2015 under section 7703(b)(2)(E) 1 of this title (as such section was in effect for such fiscal year) and has a total student enrollment of not less than 25,000 students, of which—(aa) not less than 35 percent are children described in subsection (a)(1); and(bb)(AA) not less than 3,500 of such children are children described in subparagraphs (A) and (B) of subsection (a)(1); or(BB) not less than 7,000 of such children are children described in subparagraph (D) of subsection (a)(1);(V) is a local educational agency that—(aa) has an enrollment of children described in subsection (a)(1) including, for purposes of determining eligibility, those children described in subparagraphs (F) and (G) of such subsection, that is not less than 35 percent of the total student enrollment of the agency;(bb) has a per-pupil expenditure described in subclause (II)(bb) (except that a local educational agency with a total student enrollment of less than 350 students shall be deemed to have satisfied such per-pupil expenditure requirement) and has a tax rate for general fund purposes which is not less than 95 percent of the average tax rate for general fund purposes for comparable local educational agencies in the State; and(cc) was eligible to receive assistance under subparagraph (A) for fiscal year 2001.
(ii) Loss of eligibility(I) In general(II) Loss of eligibility due to falling below 95 percent of the average tax rate for general fund purposes(III) Taken over by State board of education
(iii) Eligibility(I) First time(II) Resumption of eligibility
(C) Maximum amount for heavily impacted local educational agencies
(i) In generalExcept as provided in subparagraph (D), the maximum amount that a heavily impacted local educational agency is eligible to receive under this paragraph for any fiscal year is the sum of the total weighted student units, as computed under subsection (a)(2) and subject to clause (ii), multiplied by the greater of—(I) four-fifths of the average per-pupil expenditure of the State in which the local educational agency is located for the third fiscal year preceding the fiscal year for which the determination is made; or(II) four-fifths of the average per-pupil expenditure of all of the States for the third fiscal year preceding the fiscal year for which the determination is made.
(ii) Calculation of weighted student units(I) In general(aa) Percentage enrollment(bb) Exception(II) Enrollment of 100 or fewer children(III) Enrollment of more than 100 children but less than 1000
(D) Maximum amount for large heavily impacted local educational agencies
(i) In general(I) Formula(II) Heavily impacted local educational agencyA heavily impacted local educational agency described in this subclause is a local educational agency that received a payment for fiscal year 2015 under section 7703(b)(2)(E) 1 of this title (as such section was in effect for such fiscal year) and has a total student enrollment of not less than 25,000 students, of which not less than 35 percent are children described in subsection (a)(1) and—(aa) not less than 3,500 of such children are children described in subparagraphs (A) and (B) of subsection (a)(1); or(bb) not less than 7,000 of such children are children described in subparagraph (D) of subsection (a)(1).
(ii) FactorFor purposes of calculating the maximum amount described in clause (i), the factor used in determining the weighted student units under subsection (a)(2) with respect to children described in subparagraphs (A) and (B) of subsection (a)(1) shall be—(I) for fiscal year 2016, 1.35;(II) for each of fiscal years 2017 and 2018, 1.38;(III) for fiscal year 2019, 1.40;(IV) for fiscal year 2020, 1.42; and(V) for fiscal year 2021 and each fiscal year thereafter, 1.45.
(iii) Factor for children who live off baseFor purposes of calculating the maximum amount described in clause (i), the factor used in determining the weighted student units under subsection (a)(2) with respect to children described in subsection (a)(1)(D) shall be—(I) for fiscal year 2016, .20;(II) for each of fiscal years 2017 and 2018, .22;(III) for each of fiscal years 2019 and 2020, .25; and(IV) for fiscal year 2021 and each fiscal year thereafter—(aa) .30 with respect to each of the first 7,000 children; and(bb) .25 with respect to the number of children that exceeds 7,000.
(iv) Special ruleNotwithstanding clauses (ii) and (iii), for fiscal year 2020 or any succeeding fiscal year, if the number of students who are children described in subparagraphs (A) and (B) of subsection (a)(1) for a local educational agency subject to this subparagraph exceeds 7,000 for such year or the number of students who are children described in subsection (a)(1)(D) for such local educational agency exceeds 12,750 for such year, then—(I) the factor used, for the fiscal year for which the determination is being made, to determine the weighted student units under subsection (a)(2) with respect to children described in subparagraphs (A) and (B) of subsection (a)(1) shall be 1.40; and(II) the factor used, for such fiscal year, to determine the weighted student units under subsection (a)(2) with respect to children described in subsection (a)(1)(D) shall be .20.
(E) Data
(F) Determination of average tax rates for general fund purposes
(i) In generalExcept as provided in clause (ii), for the purpose of determining the average tax rates for general fund purposes for local educational agencies in a State under this paragraph, the Secretary shall use either—(I) the average tax rate for general fund purposes for comparable local educational agencies, as determined by the Secretary in regulations; or(II) the average tax rate of all the local educational agencies in the State.
(ii) Fiscal years 2010–2015(I) In general(II) Subsequent fiscal years after 2015(III) Availability of funds
(G) Eligibility for heavily impacted local educational agencies affected by privatization of military housing
(i) Eligibility
(ii) Amount of payment
(iii) Conversion of military housing units to private housing described
(3) Payments with respect to fiscal years in which insufficient funds are appropriated
(A) In general
(B) Learning opportunity threshold payments in lieu of payments under paragraph (1)
(i) For fiscal years described in subparagraph (A), the Secretary shall compute a learning opportunity threshold payment (hereafter in this subchapter referred to as the “threshold payment”) in lieu of basic support payments under paragraph (1) by multiplying the amount obtained under paragraph (1)(C) by the total percentage obtained by adding—(I) the percentage of federally connected children for each local educational agency determined by calculating the fraction, the numerator of which is the total number of children described under subsection (a)(1) and the denominator of which is the total number of children in average daily attendance at the schools served by such agency; and(II) the percentage that funds under paragraph (1)(C) represent of the total budget of the local educational agency, determined by calculating the fraction, the numerator of which is the total amount of funds calculated for each local educational agency under this paragraph, and the denominator of which is the total current expenditures for such agency in the second preceding fiscal year for which the determination is made.
(ii) Such total percentage used to calculate threshold payments under paragraph (1) shall not exceed 100.
(iii) In the case of a local educational agency providing a free public education to students enrolled in kindergarten through grade 12, that enrolls students described in subparagraphs (A), (B), and (D) of subsection (a)(1) only in grades 9 through 12, and that received a final payment for fiscal year 2009 calculated under section 7703(b)(3) of this title (as such section was in effect on the day before December 10, 2015) for students in grades 9 through 12, the Secretary shall, in calculating the agency’s payment, consider only that portion of such agency’s total enrollment of students in grades 9 through 12 when calculating the percentage under clause (i)(I) and only that portion of the total current expenditures attributed to the operation of grades 9 through 12 in such agency when calculating the percentage under clause (i)(II).
(iv) In the case of a local educational agency that has a total student enrollment of fewer than 1,000 students and that has a per-pupil expenditure that is less than the average per-pupil expenditure of the State in which the agency is located or less than the average per-pupil expenditure of all the States, the total percentage used to calculate threshold payments under clause (i) shall not be less than 40 percent.
(C) Learning opportunity threshold payments in lieu of payments under paragraph (2)
(D) Ratable distributionFor fiscal years described in subparagraph (A), for which the sums available exceed the amount required to pay each local educational agency 100 percent of its threshold payment, the Secretary shall distribute the excess sums to each eligible local educational agency that has not received its full amount computed under paragraphs (1) or (2) (as the case may be) by multiplying—
(i) a percentage, the denominator of which is the difference between the full amount computed under paragraph (1) or (2) (as the case may be) for all local educational agencies and the amount of the threshold payment (as calculated under subparagraphs (B) and (C)) of all local educational agencies, and the numerator of which is the aggregate of the excess sums, by
(ii) the difference between the full amount computed under paragraph (1) or (2) (as the case may be) for the agency and the amount of the threshold payment (as calculated under subparagraphs (B) or (C)) of the agency, except that no local educational agency shall receive more than 100 percent of the maximum payment calculated under subparagraph (C) or (D) of paragraph (2).
(E) Insufficient payments
(F) Increases
(i) Increases based on insufficient funds
(ii) Increases based on sufficient funds
(G) Provision of tax rate and resulting percentageAs soon as practicable following the payment of funds under paragraph (2) to an eligible local educational agency, the Secretary shall provide the local educational agency with a description of—
(i) the tax rate of the local educational agency; and
(ii) the percentage such tax rate represents of the average tax rate for general fund purposes of comparable local educational agencies in the State as determined under subclauses (II)(cc), III(aa), or (V)(bb) of paragraph (2)(B)(i) (as the case may be).
(4) States with only one local educational agency
(A) In general
(B) Computation of maximum amount of basic support payment and threshold paymentIn computing the maximum payment amount under paragraph (1)(C) or subparagraph (C) or (D) of paragraph (2), as the case may be, and the learning opportunity threshold payment under subparagraph (B) or (C) of paragraph (3), as the case may be, for an administrative school district described in subparagraph (A)—
(i) the Secretary shall first determine the maximum payment amount and the total current expenditures for the State as a whole; and
(ii) the Secretary shall then—(I) proportionately allocate such maximum payment amount among the administrative school districts on the basis of the respective weighted student units of such districts; and(II) proportionately allocate such total current expenditures among the administrative school districts on the basis of the respective number of students in average daily attendance at such districts.
(5) Local educational agencies affected by removal of Federal property
(A) In general
(B) Local educational agency described
(C) Additional requirementsThe additional requirements described in this subparagraph are the following:
(i) For each fiscal year beginning after the date on which the Federal property is transferred, a child described in subparagraph (B) who continues to reside on such property and who continues to receive a free public education at a school of the agency shall be deemed to be a child who resides on Federal property for purposes of computing under the applicable subparagraph of subsection (a)(1) the amount that the agency is eligible to receive under this subsection.
(ii)(I) For the third fiscal year beginning after the date on which the Federal property is transferred, and for each fiscal year thereafter, the Secretary shall, after computing the amount that the agency is otherwise eligible to receive under this subsection for the fiscal year involved, deduct from such amount an amount equal to the revenue received by the agency for the immediately preceding fiscal year as a result of the taxable status of the former Federal property.(II) For purposes of determining the amount of revenue to be deducted in accordance with subclause (I), the local educational agency—(aa) shall provide for a review and certification of such amount by an appropriate local tax authority; and(bb) shall submit to the Secretary a report containing the amount certified under item (aa).
(c) Prior year data
(1) In general
(2) ExceptionCalculation of payments for a local educational agency shall be based on data from the fiscal year for which the agency is making an application for payment if such agency—
(A) is newly established by a State, for the first year of operation of such agency only;
(B) was eligible to receive a payment under this section for the previous fiscal year and has had an overall increase in enrollment (as determined by the Secretary in consultation with the Secretary of Defense, the Secretary of the Interior, or the heads of other Federal agencies)—
(i)(I) of not less than 10 percent of children described in—(aa) subparagraph (A), (B), (C), or (D) of subsection (a)(1); or(bb) subparagraphs (F) and (G) of subsection (a)(1), but only to the extent that such children are civilian dependents of employees of the Department of Defense or the Department of the Interior; or(II) of not less than 100 of such children; and
(ii) that is the direct result of closure or realignment of military installations under the base closure process or the relocation of members of the Armed Forces and civilian employees of the Department of Defense as part of the force structure changes or movements of units or personnel between military installations or because of actions initiated by the Secretary of the Interior or the head of another Federal agency; or
(C) was eligible to receive a payment under this section for the previous fiscal year and has had an increase in enrollment (as determined by the Secretary)—
(i) of not less than 10 percent of children described in subsection (a)(1) or not less than 100 of such children; and
(ii) that is the direct result of the closure of a local educational agency that received a payment under subsection (b)(1) or (b)(2) for the previous fiscal year.
(d) Children with disabilities
(1) In generalFrom the amount appropriated under section 7714(c) of this title for a fiscal year, the Secretary shall pay to each eligible local educational agency, on a pro rata basis, the amounts determined by—
(A) multiplying the number of children described in subparagraphs (A)(ii), (B) and (C) of subsection (a)(1) who are eligible to receive services under the Individuals with Disabilities Education Act (20 U.S.C. 1400 et seq.) by a factor of 1.0; and
(B) multiplying the number of children described in subparagraph (D) of subsection (a)(1) who are eligible to receive services under such Act by a factor of 0.5.
(2) Use of funds
(e) Hold harmless
(1) In general
(2) Amount of reductionSubject to paragraph (3), A local educational agency described in paragraph (1) shall receive—
(A) for the first year for which the reduced payment is determined, an amount that is not less than 90 percent of the total amount that the local educational agency received under subsection (b) for the previous fiscal year;
(B) for the second year following such reduction, an amount that is not less than 85 percent of the total amount that the local educational agency received under subparagraph (A); and
(C) for the third year following such reduction, an amount that is not less than 80 percent of the total amount that the local educational agency received under subparagraph (B).
(3) Special rule
(4) Ratable reductions
(A) In general
(B) Additional funds
(f) Other funds
(Pub. L. 89–10, title VII, § 7003, formerly title VIII, § 8003, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3752; amended Pub. L. 104–106, div. A, title X, § 1074(f), (g), Feb. 10, 1996, 110 Stat. 448, 449; Pub. L. 104–195, §§ 3(a), 4(a), 5(a), (b), Sept. 16, 1996, 110 Stat. 2380–2382; Pub. L. 104–201, div. A, title III, § 376, Sept. 23, 1996, 110 Stat. 2503; Pub. L. 104–208, div. A, title I, § 101(e) [title III, § 307(a)], Sept. 30, 1996, 110 Stat. 3009–233, 3009–262; Pub. L. 105–18, title VI, § 60005(a), June 12, 1997, 111 Stat. 214; Pub. L. 105–78, title III, Nov. 13, 1997, 111 Stat. 1497; Pub. L. 106–398, § 1 [[div. A], title XVIII, §§ 1804(a), (b)(1), (c), 1805–1808(b)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–372, 1654A–374 to 1654A–382; Pub. L. 106–554, § 1(a)(1) [title III, § 323], Dec. 21, 2000, 114 Stat. 2763, 2763A–61; Pub. L. 107–20, title II, § 2703(a), July 24, 2001, 115 Stat. 182; Pub. L. 107–110, title VIII, § 802(a)(1), Jan. 8, 2002, 115 Stat. 1949; Pub. L. 107–206, title I, §§ 801, 802, Aug. 2, 2002, 116 Stat. 874; Pub. L. 107–279, title IV, § 406(a), Nov. 5, 2002, 116 Stat. 1986; Pub. L. 107–314, div. A, title III, § 344, Dec. 2, 2002, 116 Stat. 2515; Pub. L. 108–136, div. A, title V, § 537(a), Nov. 24, 2003, 117 Stat. 1475; Pub. L. 111–84, div. A, title V, § 536, Oct. 28, 2009, 123 Stat. 2293; Pub. L. 112–239, div. A, title V, § 563(b)(2), (c)(4), Jan. 2, 2013, 126 Stat. 1746, 1748; renumbered title VII, § 7003, and amended Pub. L. 114–95, title VII, §§ 7001(a)(1), (c)(1), (d)(10), 7004, Dec. 10, 2015, 129 Stat. 2074, 2075, 2077; Pub. L. 114–328, div. A, title V, § 579(b)(1), (d)(1), Dec. 23, 2016, 130 Stat. 2145, 2146; Pub. L. 115–141, div. H, title III, § 311(d), Mar. 23, 2018, 132 Stat. 750.)
§ 7703a. Impact aid for children with severe disabilities
(a) Payments
(b) Payment amountThe amount of the payment under subsection (a) to a local educational agency for a fiscal year for each child referred to in such subsection with a severe disability shall be—
(1) the payment made on behalf of the child with a severe disability that is in excess of the average per pupil expenditure in the State in which the local educational agency is located; less
(2) the sum of the funds received by the local educational agency—
(A) from the State in which the child resides to defray the educational and related services for such child;
(B) under the Individuals with Disabilities Education Act (20 U.S.C. 1400 et seq.) to defray the educational and related services for such child; and
(C) from any other source to defray the costs of providing educational and related services to the child which are received due to the presence of a severe disabling condition of such child.
(c) ExclusionsNo payment shall be made under subsection (a) on behalf of a child with a severe disability whose individual cost of educational and related services does not exceed—
(1) five times the national or State average per pupil expenditure (whichever is lower), for a child who is provided educational and related services under a program that is located outside the boundaries of the school district of the local educational agency that pays for the free appropriate public education of the student; or
(2) three times the State average per pupil expenditure, for a child who is provided educational and related services under a program offered by the local educational agency, or within the boundaries of the school district served by the local educational agency.
(d) Ratable reduction
(e) ReportEach local educational agency desiring a payment under subsection (a) shall report to the Secretary of Defense—
(1) the number of severely disabled children for which a payment may be made under this section; and
(2) a breakdown of the average cost, by placement (inside or outside the boundaries of the school district of the local educational agency), of providing education and related services to such children.
(f) Payments subject to appropriation
(g) Local educational agency defined
(Pub. L. 106–398, § 1 [[div. A], title III, § 363], Oct. 30, 2000, 114 Stat. 1654, 1654A–77; Pub. L. 114–95, title IX, § 9215(kk), Dec. 10, 2015, 129 Stat. 2175.)
§ 7703b. Assistance to local educational agencies that benefit dependents of members of the Armed Forces and Department of Defense civilian employees
(a) Assistance to schools with significant numbers of military dependent students
(1) Assistance authorized
(2) Eligible local educational agencies
(b) Assistance to schools with enrollment changes due to base closures, force structure changes, or force relocations
(1) Assistance authorizedTo assist communities in making adjustments resulting from changes in the size or location of the Armed Forces, the Secretary of Defense shall provide financial assistance to an eligible local educational agency described in paragraph (2) if, during the period between the end of the school year preceding the fiscal year for which the assistance is authorized and the beginning of the school year immediately preceding that school year, the local educational agency had (as determined by the Secretary of Defense in consultation with the Secretary of Education) an overall increase or reduction of—
(A) not less than five percent in the average daily attendance of military dependent students in the schools of the local educational agency; or
(B) not less than 250 military dependent students in average daily attendance in the schools of the local educational agency.
(2) Eligible local educational agenciesA local educational agency is eligible for assistance under this subsection for a fiscal year if—
(A) the local educational agency is eligible for assistance under subsection (a) for the same fiscal year, or would have been eligible for such assistance if not for the reduction in military dependent students in schools of the local educational agency; and
(B) the overall increase or reduction in military dependent students in schools of the local educational agency is the result of one or more of the following:
(i) The global rebasing plan of the Department of Defense.
(ii) The official creation or activation of one or more new military units.
(iii) The realignment of forces as a result of the base closure process.
(iv) A change in the number of housing units on a military installation.
(3) Calculation of amount of assistance
(A) Pro rata distributionThe amount of the assistance provided under this subsection to a local educational agency that is eligible for such assistance for a fiscal year shall be equal to the product obtained by multiplying—
(i) the per-student rate determined under subparagraph (B) for that fiscal year; by
(ii) the net of the overall increases and reductions in the number of military dependent students in schools of the local educational agency, as determined under paragraph (1).
(B) Per-student rateFor purposes of subparagraph (A)(i), the per-student rate for a fiscal year shall be equal to the dollar amount obtained by dividing—
(i) the total amount of funds made available for that fiscal year to provide assistance under this subsection; by
(ii) the sum of the overall increases and reductions in the number of military dependent students in schools of all eligible local educational agencies for that fiscal year under this subsection.
(C) Maximum amount of assistance
(4) Duration
(c) NotificationNot later than June 30, 2006, and June 30 of each fiscal year thereafter for which funds are made available to carry out this section, the Secretary of Defense shall notify each local educational agency that is eligible for assistance under this section for that fiscal year of—
(1) the eligibility of the local educational agency for the assistance, including whether the agency is eligible for assistance under either subsection (a) or (b) or both subsections; and
(2) the amount of the assistance for which the local educational agency is eligible.
(d) Disbursement of funds
(e) DefinitionsIn this section:
(1) The term “base closure process” means the 2005 base closure and realignment process authorized by Defense Base Closure and Realignment Act of 1990 (part A of title XXIX of Public Law 101–510; 10 U.S.C. 2687 note) or any base closure and realignment process conducted after January 6, 2006, under section 2687 of title 10 or any other similar law enacted after January 6, 2006.
(2) The term “local educational agency” has the meaning given that term in section 7713(9) of this title.
(3) The term “military dependent students” refers to—
(A) elementary and secondary school students who are dependents of members of the Armed Forces; and
(B) elementary and secondary school students who are dependents of civilian employees of the Department of Defense.
(4) The term “State” means each of the 50 States and the District of Columbia.
(Pub. L. 109–163, div. A, title V, § 572, Jan. 6, 2006, 119 Stat. 3271; Pub. L. 111–84, div. A, title V, § 533, Oct. 28, 2009, 123 Stat. 2292; Pub. L. 112–239, div. A, title V, § 561(b)(1), (c), Jan. 2, 2013, 126 Stat. 1743, 1744; Pub. L. 114–95, title IX, § 9215(ccc), Dec. 10, 2015, 129 Stat. 2185.)
§ 7703c. Plan and authority to assist local educational agencies experiencing growth in enrollment due to force structure changes, relocation of military units, or base closures and realignments
(a) Plan requiredNot later than January 1, 2007
(1) Force structure changes.
(2) The relocation of a military unit.
(3) The closure or realignment of military installations pursuant to defense base closure and realignment under the base closure laws.
(b) ElementsThe report required by subsection (a), and each updated report required by subsection (c),1
1 See References in Text note below.
shall include the following:
(1) An identification, current as of the date of the report, of the total number of military dependent students who are anticipated to be arriving at or departing from military installations as a result of any event described in subsection (a), including—
(A) an identification of the military installations affected by such arrivals and departures;
(B) an estimate of the number of such students arriving at or departing from each such installation; and
(C) the anticipated schedule of such arrivals and departures.
(2) Such recommendations as the Office of Economic Adjustment of the Department of Defense considers appropriate for means of assisting affected local educational agencies in accommodating increases in enrollment of military dependent students as a result of any such event.
(3) A plan for outreach to be conducted to affected local educational agencies, commanders of military installations, and members of the Armed Forces and civilian personnel of the Department of Defense regarding information on the assistance to be provided under the plan under subsection (a).
(c) Transition of military dependents among local educational agencies
(1) The Secretary of Defense shall work collaboratively with the Secretary of Education in any efforts to ease the transitions of military dependent students from Department of Defense dependent schools to other schools and among schools of local educational agencies.
(2) The Secretary of Defense may use funds of the Department of Defense Education Activity for the following purposes:
(A) To share expertise and experience of the Activity with local educational agencies as military dependent students make the transitions described in paragraph (1), including transitions resulting from the closure or realignment of military installations under a base closure law, global rebasing, and force restructuring.
(B) To provide grant assistance programs for local educational agencies with military dependent students undergoing the transitions described in paragraph (1), including programs on the following:
(i) Access to virtual and distance learning capabilities and related applications.
(ii) Training for teachers.
(iii) Academic strategies to increase academic achievement.
(iv) Curriculum development.
(v) Support for practices that minimize the impact of transition and deployment.
(vi) Other appropriate services to improve the academic achievement of such students.
(d) DefinitionsIn this section:
(1) The term “base closure law” has the meaning given that term in section 101 of title 10.
(2) The term “local educational agency” has the meaning given that term in section 7713(9) of this title.
(3) The term “military dependent students” refers to—
(A) elementary and secondary school students who are dependents of members of the Armed Forces;
(B) elementary and secondary school students who are dependents of civilian employees of the Department of Defense; and
(C) elementary and secondary school students who are dependents of personnel who are not members of the Armed Forces or civilian employees of the Department of Defense but who are employed on Federal property.
(Pub. L. 109–364, div. A, title V, § 574, Oct. 17, 2006, 120 Stat. 2226, as amended by Pub. L. 110–181, div. A, title V, § 573, Jan. 28, 2008, 122 Stat. 120; Pub. L. 110–417, [div. A], title V, § 553, Oct. 14, 2008, 122 Stat. 4469; Pub. L. 112–81, div. A, title V, § 573, Dec. 31, 2011, 125 Stat. 1427; Pub. L. 114–92, div. A, title X, § 1072(h), Nov. 25, 2015, 129 Stat. 995; Pub. L. 114–328, div. A, title V, § 572(a), Dec. 23, 2016, 130 Stat. 2141; Pub. L. 115–91, div. A, title V, § 552(a), Dec. 12, 2017, 131 Stat. 1401.)
§ 7703d. Assistance to local educational agencies that benefit dependents of members of the Armed Forces with enrollment changes due to base closures, force structure changes, or force relocations
(a) Assistance authorizedTo assist communities in making adjustments resulting from changes in the size or location of the Armed Forces, the Secretary of Defense shall provide financial assistance to an eligible local educational agency described in subsection (b) if, during the period between the end of the school year preceding the fiscal year for which the assistance is authorized and the beginning of the school year immediately preceding that school year, the local educational agency had (as determined by the Secretary of Defense in consultation with the Secretary of Education) an overall increase or reduction of—
(1) not less than five percent in the average daily attendance of military dependent students in the schools of the local educational agency; or
(2) not less than 500 military dependent students in average daily attendance in the schools of the local educational agency.
(b) Eligible local educational agenciesA local educational agency is eligible for assistance under subsection (a) for a fiscal year if—
(1) 20 percent or more of students enrolled in schools of the local educational agency are military dependent students; and
(2) in the case of assistance described in subsection (a)(1), the overall increase or reduction in military dependent students in schools of the local educational agency is the result of one or more of the following:
(A) The global rebasing plan of the Department of Defense.
(B) The official creation or activation of one or more new military units.
(C) The realignment of forces as a result of the base closure process.
(D) A change in the number of housing units on a military installation.
(E) A signed record of decision.
(c) Calculation of amount of assistance
(1) Pro rata distributionThe amount of the assistance provided under subsection (a) to a local educational agency that is eligible for such assistance for a fiscal year shall be equal to the product obtained by multiplying—
(A) the per-student rate determined under paragraph (2) for that fiscal year; by
(B) the net of the overall increases and reductions in the number of military dependent students in schools of the local educational agency, as determined under subsection (a).
(2) Per-student rateFor purposes of paragraph (1)(A), the per-student rate for a fiscal year shall be equal to the dollar amount obtained by dividing—
(A) the total amount of funds made available for that fiscal year to provide assistance under subsection (a); by
(B) the sum of the overall increases and reductions in the number of military dependent students in schools of all eligible local educational agencies for that fiscal year under that subsection.
(3) Maximum amount of assistance
(d) Duration
(e) NotificationNot later than June 30, 2023, and June 30 of each fiscal year thereafter for which funds are made available to carry out this section, the Secretary of Defense shall notify each local educational agency that is eligible for assistance under subsection (a) for that fiscal year of—
(1) the eligibility of the local educational agency for the assistance; and
(2) the amount of the assistance for which the local educational agency is eligible.
(f) Disbursement of funds
(g) Briefing required
(h) Funding
(1) Increase
(2) Offset
(i) DefinitionsIn this section:
(1) The term “base closure process” means any base closure and realignment process conducted after December 23, 2022, under section 2687 of title 10 or any other similar law enacted after that date.
(2) The term “local educational agency” has the meaning given that term in section 7713(9) of this title.
(3) The term “military dependent students” means—
(A) elementary and secondary school students who are dependents of members of the Armed Forces; and
(B) elementary and secondary school students who are dependents of civilian employees of the Department of Defense.
(4) The term “State” means each of the several States and the District of Columbia.
(Pub. L. 117–263, div. A, title V, § 575, Dec. 23, 2022, 136 Stat. 2602; Pub. L. 118–31, div. A, title V, § 583(a), Dec. 22, 2023, 137 Stat. 280.)
§ 7704. Policies and procedures relating to children residing on Indian lands
(a) In generalA local educational agency that claims children residing on Indian lands for the purpose of receiving funds under section 7703 of this title shall establish policies and procedures to ensure that—
(1) such children participate in programs and activities supported by such funds on an equal basis with all other children;
(2) parents of such children and Indian tribes are afforded an opportunity to present their views on such programs and activities, including an opportunity to make recommendations on the needs of those children and how the local educational agency may help such children realize the benefits of such programs and activities;
(3) parents and Indian tribes are consulted and involved in planning and developing such programs and activities;
(4) relevant applications, evaluations, and program plans are disseminated to the parents and Indian tribes; and
(5) parents and Indian tribes are afforded an opportunity to present their views to such agency regarding such agency’s general educational program.
(b) Records
(c) Waiver
(d) Technical assistance and enforcementThe Secretary shall—
(1) provide technical assistance to local educational agencies, parents, and Indian tribes to enable such agencies, parents, and tribes to carry out this section; and
(2) enforce this section through such actions, which may include the withholding of funds, as the Secretary determines to be appropriate, after affording the affected local educational agency, parents, and Indian tribe an opportunity to present their views.
(e) Complaints
(1) In general
(A) Any tribe, or its designee, which has students in attendance at a local educational agency may, in its discretion and without regard to the requirements of any other provision of law, file a written complaint with the Secretary regarding any action of a local educational agency taken pursuant to, or relevant to, the requirements of this section.
(B) Within ten working days from receipt of a complaint, the Secretary shall—
(i) designate a time and place for a hearing into the matters relating to the complaint at a location in close proximity to the local educational agency involved, or if the Secretary determines there is good cause, at some other location convenient to both the tribe, or its designee, and the local educational agency;
(ii) designate a hearing examiner to conduct the hearing; and
(iii) notify the affected tribe or tribes and the local educational agency involved of the time, place, and nature of the hearing and send copies of the complaint to the local educational agency and the affected tribe or tribes.
(2) Hearing
(3) Evidence; recommendations; cost
(4) Findings and recommendations
(5) Written determination
(6) Copies provided
(7) Consolidation
(8) Withholding
(9) Rejection of determination
(f) Construction
(Pub. L. 89–10, title VII, § 7004, formerly title VIII, § 8004, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3759; renumbered title VII, § 7004, and amended Pub. L. 114–95, title VII, §§ 7001(c)(1), (d)(2), 7005, Dec. 10, 2015, 129 Stat. 2074, 2086.)
§ 7705. Application for payments under sections 7702 and 7703 of this title
(a) In general
A local educational agency desiring to receive a payment under section 7702 or 7703 of this title shall—
(1) submit an application for such payment to the Secretary; and
(2) provide a copy of such application to the State educational agency.
(b) Contents
Each such application shall be submitted in such form and manner as the Secretary may require, including—
(1) information to determine the eligibility of the local educational agency for a payment and the amount of such payment; and
(2) where applicable, an assurance that such agency is in compliance with section 7704 of this title (relating to children residing on Indian lands).
(c) Deadline for submission
(d) Approval
(1) In general
The Secretary shall approve an application submitted under this section that—
(A) except as provided in paragraph (2), is filed by the deadline established under subsection (c); and
(B) otherwise meets the requirements of this subchapter.
(2) Reduction in payment
(3) Late applications
(A) Notice
(B) Acceptance and approval of late applications
(4) State application authority
(Pub. L. 89–10, title VII, § 7005, formerly title VIII, § 8005, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3761; amended Pub. L. 106–398, § 1 [[div. A], title XVIII, § 1809], Oct. 30, 2000, 114 Stat. 1654, 1654A–382; renumbered title VII, § 7005, and amended Pub. L. 114–95, title VII, §§ 7001(c)(1), (d)(1), 7006, Dec. 10, 2015, 129 Stat. 2074, 2086.)
§ 7707. Construction
(a) Construction payments authorized
(1) In general
(2) Additional requirementsA local educational agency that receives a basic support payment under section 7703(b)(1) of this title shall also meet at least one of the following requirements:
(A) The number of children determined under section 7703(a)(1)(C) of this title for the agency for the preceding school year constituted at least 50 percent of the total student enrollment in the schools of the agency during the preceding school year.
(B) The number of children determined under subparagraphs (B) and (D)(i) of section 7703(a)(1) of this title for the agency for the preceding school year constituted at least 50 percent of the total student enrollment in the schools of the agency during the preceding school year.
(3) Amount of payments
(A) Local educational agencies impacted by military dependent childrenThe amount of a payment to each local educational agency described in this subsection that is impacted by military dependent children for a fiscal year shall be equal to—
(i)(I) 20 percent of the amount appropriated under section 7714(d) of this title for such fiscal year; divided by(II) the total number of weighted student units of children described in subparagraphs (B) and (D)(i) of section 7703(a)(1) of this title for all local educational agencies described in this subsection (as calculated under section 7703(a)(2) of this title), including the number of weighted student units of such children attending a school facility described in section 7708(a) of this title if the Secretary does not provide assistance for the school facility under that section for the prior fiscal year; multiplied by
(ii) the total number of such weighted student units for the agency.
(B) Local educational agencies impacted by children who reside on Indian landsThe amount of a payment to each local educational agency described in this subsection that is impacted by children who reside on Indian lands for a fiscal year shall be equal to—
(i)(I) 20 percent of the amount appropriated under section 7714(d) of this title for such fiscal year; divided by(II) the total number of weighted student units of children described in section 7703(a)(1)(C) of this title for all local educational agencies described in this subsection (as calculated under section 7703(a)(2) of this title); multiplied by
(ii) the total number of such weighted student units for the agency.
(4) Use of funds
(b) School facility emergency and modernization grants authorized
(1) In generalFrom 60 percent of the amount appropriated for each fiscal year under section 7714(d) of this title, the Secretary—
(A) shall award emergency grants in accordance with this subsection to eligible local educational agencies to enable the agencies to carry out emergency repairs of school facilities; and
(B) shall award modernization grants in accordance with this subsection to eligible local educational agencies to enable the agencies to carry out the modernization of school facilities.
(2) PriorityIn approving applications from local educational agencies for emergency grants and modernization grants under this subsection, the Secretary shall give priority to applications in accordance with the following:
(A) The Secretary shall first give priority to applications for emergency grants from local educational agencies that meet the requirements of paragraph (3)(A) and, among such applications for emergency grants, shall give priority to those applications of local educational agencies based on the severity of the emergency, as determined by the Secretary.
(B) The Secretary shall next give priority to applications for emergency grants from local educational agencies that meet the requirements of subparagraph (C) or (D) of paragraph (3) and, among such applications for emergency grants, shall give priority to those applications of local educational agencies based on the severity of the emergency, as determined by the Secretary.
(C) The Secretary shall next give priority to applications for modernization grants from local educational agencies that meet the requirements of paragraph (3)(B) and, among such applications for modernization grants, shall give priority to those applications of local educational agencies based on the severity of the need for modernization, as determined by the Secretary.
(D) The Secretary shall next give priority to applications for modernization grants from local educational agencies that meet the requirements of subparagraph (C) or (D) of paragraph (3) and, among such applications for modernization grants, shall give priority to those applications of local educational agencies based on the severity of the need for modernization, as determined by the Secretary.
(3) Eligibility requirements
(A) Emergency grantsA local educational agency is eligible to receive an emergency grant under paragraph (2)(A) if—
(i) the agency (or in the case of a local educational agency that does not have the authority to tax or issue bonds, the agency’s fiscal agent)—(I) has no practical capacity to issue bonds;(II) has minimal capacity to issue bonds and is at not less than 75 percent of the agency’s limit of bonded indebtedness; or(III) does not meet the requirements of subclauses (I) and (II) but is eligible to receive funds under section 7703(b)(2) of this title for the fiscal year; and
(ii) the agency is eligible to receive assistance under subsection (a) for the fiscal year and has a school facility emergency, as determined by the Secretary, that poses a health or safety hazard to the students and school personnel assigned to the school facility.
(B) Modernization grantsA local educational agency is eligible to receive a modernization grant under paragraph (2)(C) if—
(i) the agency is eligible to receive assistance under this subchapter for the fiscal year;
(ii) the agency (or in the case of a local educational agency that does not have the authority to tax or issue bonds, the agency’s fiscal agent) meets the requirements of subclause (I), (II), or (III) of subparagraph (A)(i); and
(iii) the agency has facility needs resulting from the presence of the Federal Government, such as the enrollment of federally connected children, the presence of tax-exempt Federal property, or an increase in enrollment due to the expansion of Federal activities, housing privatization, or the acquisition of Federal property.
(C) Additional eligibility for emergency and modernization grants
(i) A local educational agency is eligible to receive an emergency grant or a modernization grant under subparagraph (B) or (D) of paragraph (2), respectively, if the agency meets the following requirements:(I) The agency receives a basic support payment under section 7703(b) of this title for the fiscal year and the agency meets at least one of the following requirements:(aa) The number of children determined under section 7703(a)(1)(C) of this title for the agency for the preceding school year constituted at least 40 percent of the total student enrollment in the schools of the agency during the preceding school year.(bb) The number of children determined under subparagraphs (B) and (D)(i) of section 7703(a)(1) of this title for the agency for the preceding school year constituted at least 40 percent of the total student enrollment in the schools of the agency during the preceding school year.(cc) Not less than 10 percent of the property acreage in the agency is exempt from State and local taxation under Federal law.(II) The agency (or in the case of a local educational agency that does not have the authority to tax or issue bonds, the agency’s fiscal agent) is at not less than 75 percent of the agency’s limit of bonded indebtedness.(III) The agency has an assessed value of real property per student that may be taxed for school purposes that is less than the average of the assessed value of real property per student that may be taxed for school purposes in the State in which the local educational agency is located.
(ii) A local educational agency is also eligible to receive a modernization grant under this subparagraph if the agency is eligible to receive assistance under section 7702 of this title for the fiscal year and meets the requirements of subclauses (II) and (III) of clause (i).
(D) Special rule
(i) In general
(ii) School describedA school described in this clause is a school that meets the following requirements:(I) The school is located within the geographic boundaries of a local educational agency that does not meet the applicable eligibility requirements under subparagraph (A), (B), or (C) for a grant under this subsection.(II) The school meets at least one of the following requirements:(aa) The number of children determined under section 7703(a)(1)(C) of this title for the school for the preceding school year constituted at least 40 percent of the total student enrollment in the school during the preceding school year.(bb) The number of children determined under subparagraphs (B) and (D)(i) of section 7703(a)(1) of this title for the school for the preceding school year constituted at least 40 percent of the total student enrollment in the school during the preceding school year.(III) The school is located within the geographic boundaries of a local educational agency that meets the requirements of subclauses (II) and (III) of subparagraph (C)(i).
(E) Rule of constructionFor purposes of subparagraph (A)(i), a local educational agency—
(i) has no practical capacity to issue bonds if the total assessed value of real property that may be taxed for school purposes is less than $25,000,000; and
(ii) has minimal capacity to issue bonds if the total assessed value of real property that may be taxed for school purposes is at least $25,000,000 but not more than $50,000,000.
(4) Award criteriaIn awarding emergency grants and modernization grants under this subsection, the Secretary shall consider the following factors:
(A) The ability of the local educational agency to respond to the emergency, or to pay for the modernization project, as the case may be, as measured by—
(i) the agency’s level of bonded indebtedness;
(ii) the assessed value of real property per student that may be taxed for school purposes compared to the average of the assessed value of real property per student that may be taxed for school purposes in the State in which the agency is located;
(iii) the agency’s total tax rate for school purposes (or, if applicable, for capital expenditures) compared to the average total tax rate for school purposes (or the average capital expenditure tax rate, if applicable) in the State in which the agency is located; and
(iv) funds that are available to the agency, from any other source, including subsection (a), that may be used for capital expenditures.
(B) The percentage of property in the agency that is nontaxable due to the presence of the Federal Government.
(C) The number and percentages of children described in subparagraphs (A), (B), (C), and (D) of section 7703(a)(1) of this title served in the school facility with the emergency or served in the school facility proposed for modernization, as the case may be.
(D) In the case of an emergency grant, the severity of the emergency, as measured by the threat that the condition of the school facility poses to the health, safety, and well-being of students.
(E) In the case of a modernization grant—
(i) the severity of the need for modernization, as measured by such factors as—(I) overcrowding, as evidenced by the use of portable classrooms, or the potential for future overcrowding because of increased enrollment; or(II) the agency’s inability to utilize technology or offer a curriculum in accordance with contemporary State standards due to the physical limitations of the current school facility; and
(ii) the age of the school facility proposed for modernization.
(5) Other award provisions
(A) General provisions
(i) Limitations on amount of funds(I) In generalThe amount of funds provided under an emergency grant or a modernization grant awarded under this subsection to a local educational agency that meets the requirements of subclause (II) or (III) of paragraph (3)(A)(i) for purposes of eligibility under subparagraph (A) or (B) of paragraph (3) or that meets the requirements of clause (i) or (ii) of paragraph (3)(C) for purposes of eligibility under such paragraph (3)(C), or to a school that is eligible under paragraph (3)(D)—(aa) shall not exceed 50 percent of the total cost of the project to be assisted under this subsection; and(bb) shall not exceed $4,000,000 during any 4-year period.(II) In-kind contributions
(ii) Prohibitions on use of fundsA local educational agency may not use funds provided under an emergency grant or modernization grant awarded under this subsection for—(I) a project for a school facility for which the agency does not have full title or other interest;(II) stadiums or other school facilities that are primarily used for athletic contests, exhibitions, or other events for which admission is charged to the general public; or(III) the acquisition of real property.
(iii) Supplement, not supplant
(iv) Maintenance costs
(v) Environmental safeguards
(vi) Carry-over of certain applications
(B) Emergency grants; prohibition on use of funds
(6) ApplicationA local educational agency that desires to receive an emergency grant or a modernization grant under this subsection shall submit an application to the Secretary at such time and in such manner as the Secretary may require. Each application shall contain the following:
(A) A description of how the local educational agency meets the award criteria under paragraph (4), including the information described in clauses (i) through (iv) of paragraph (4)(A) and subparagraphs (B) and (C) of paragraph (4), and containing such additional information as may be necessary to meet any award criteria for a grant under this subsection as provided by any other Act.
(B) In the case of an application for an emergency grant—
(i) a description of the school facility deficiency that poses a health or safety hazard to the occupants of the facility and a description of how the deficiency will be repaired; and
(ii) a signed statement from an appropriate local official certifying that a deficiency in the school facility threatens the health or safety of the occupants of the facility or that prevents the use of all or a portion of the building.
(C) In the case of an application for a modernization grant—
(i) an explanation of the need for the school facility modernization project;
(ii) the date on which original construction of the facility to be modernized was completed;
(iii) a listing of the school facilities to be modernized, including the number and percentage of children determined under section 7703(a)(1) of this title in average daily attendance in each school facility; and
(iv) a description of the ownership of the property on which the current school facility is located or on which the planned school facility will be located.
(D) A description of the project for which a grant under this subsection will be used, including a cost estimate for the project.
(E) A description of the interest in, or authority over, the school facility involved, such as an ownership interest or a lease arrangement.
(Pub. L. 89–10, title VII, § 7007, formerly title VIII, § 8007, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3763; amended Pub. L. 104–134, title I, § 101(d) [title III, § 306(b)], Apr. 26, 1996, 110 Stat. 1321–211, 1321–236; renumbered title I, Pub. L. 104–140, § 1(a), May 2, 1996, 110 Stat. 1327; Pub. L. 106–398, § 1 [[div. A], title XVIII, § 1811], Oct. 30, 2000, 114 Stat. 1654, 1654A–383; Pub. L. 107–110, title VIII, § 803, Jan. 8, 2002, 115 Stat. 1950; Pub. L. 113–188, title V, § 501, Nov. 26, 2014, 128 Stat. 2019; renumbered title VII, § 7007, and amended Pub. L. 114–95, title VII, §§ 7001(c)(2), (d)(1), (3)–(8), (11), 7007, Dec. 10, 2015, 129 Stat. 2074, 2075, 2086.)
§ 7708. Facilities
(a) Current facilities
(b) Transfer of facilities
(1) In general
(2) Other requirements
(Pub. L. 89–10, title VII, § 7008, formerly title VIII, § 8008, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3764; renumbered title VII, § 7008, and amended Pub. L. 114–95, title VII, §§ 7001(c)(2), 7008, Dec. 10, 2015, 129 Stat. 2074, 2086.)
§ 7709. State consideration of payments in providing State aid
(a)Except as provided in subsection (b), a State may not—
(1) consider payments under this subchapter in determining for any fiscal year—
(A) the eligibility of a local educational agency for State aid for free public education; or
(B) the amount of such aid; or
(2) make such aid available to local educational agencies in a manner that results in less State aid to any local educational agency that is eligible for such payment than such agency would receive if such agency were not so eligible.
(b) State equalization plans
(1) In general
(2) Computation
(A) In general
(B) Other factorsIn making a determination under this subsection, the Secretary shall—
(i) disregard local educational agencies with per-pupil expenditures or revenues above the 95th percentile or below the 5th percentile of such expenditures or revenues in the State; and
(ii) take into account the extent to which a program of State aid reflects the additional cost of providing free public education in particular types of local educational agencies, such as those that are geographically isolated, or to particular types of students, such as children with disabilities.
(3) ExceptionNotwithstanding paragraph (2), if the Secretary determines that the State has substantially revised its program of State aid, the Secretary may certify such program for any fiscal year only if—
(A) the Secretary determines, on the basis of projected data, that the State’s program will meet the disparity standard described in paragraph (2) for the fiscal year for which the determination is made; and
(B) the State provides an assurance to the Secretary that, if final data do not demonstrate that the State’s program met such standard for the fiscal year for which the determination is made, the State will pay to each affected local educational agency the amount by which the State reduced State aid to the local educational agency.
(c) Procedures for review of State equalization plans
(1) Written notice
(A) In general
(B) Contents
(2) Opportunity to present views
(3) Qualification proceduresIf the Secretary determines that a program of State aid qualifies under subsection (b), the Secretary shall—
(A) certify the program and so notify the State; and
(B) afford an opportunity for a hearing, in accordance with section 7711(a) of this title, to any local educational agency adversely affected by such certification.
(4) Nonqualification proceduresIf the Secretary determines that a program of State aid does not qualify under subsection (b), the Secretary shall—
(A) so notify the State; and
(B) afford an opportunity for a hearing, in accordance with section 7711(a) of this title, to the State, and to any local educational agency adversely affected by such determination.
(d) Treatment of State aid
(1) In generalIf a State has in effect a program of State aid for free public education for any fiscal year, which is designed to equalize expenditures for free public education among the local educational agencies of that State, payments under this subchapter for any fiscal year may be taken into consideration by such State in determining the relative—
(A) financial resources available to local educational agencies in that State; and
(B) financial need of such agencies for the provision of free public education for children served by such agency, except that a State may consider as local resources funds received under this subchapter only in proportion to the share that local tax revenues covered under a State equalization program are of total local tax revenues.
(2) Prohibition
(e) Remedies for State violations
(1) In general
(2) Immunity
(3) Relief
(Pub. L. 89–10, title VII, § 7009, formerly title VIII, § 8009, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3764; amended Pub. L. 104–195, § 10, Sept. 16, 1996, 110 Stat. 2384; Pub. L. 106–398, § 1 [[div. A], title XVIII, § 1812], Oct. 30, 2000, 114 Stat. 1654, 1654A–386; Pub. L. 107–110, title VIII, § 804, Jan. 8, 2002, 115 Stat. 1956; renumbered title VII, § 7009, and amended Pub. L. 114–95, title VII, §§ 7001(c)(2), (d)(1), (7), (8), 7009, Dec. 10, 2015, 129 Stat. 2074, 2087.)
§ 7710. Federal administration
(a) Payments in whole dollar amounts
(b) Other agencies
(c) Special rules
(1) Certain children eligible under subparagraphs (A) and (G)(ii) of section 7703(a)(1)
(A) The Secretary shall treat as eligible under subparagraph (A) of section 7703(a)(1) of this title any child who would be eligible under such subparagraph except that the Federal property on which the child resides or on which the child’s parent is employed is not in the same State in which the child attends school, if such child meets the requirements of paragraph (2).
(B) The Secretary shall treat as eligible under subparagraph (G) of section 7703(a)(1) of this title any child who would be eligible under such subparagraph except that such child does not meet the requirements of clause (ii) of such subparagraph, if such child meets the requirements of paragraph (2).
(2) RequirementsA child meets the requirements of this paragraph if—
(A) such child resides—
(i) in a State adjacent to the State in which the local educational agency serving the school such child attends is located; or
(ii) with a parent employed on Federal property in a State adjacent to the State in which such agency is located;
(B) the schools of such agency are within a more reasonable commuting distance of such child’s home than the schools of the local educational agency that serves the school attendance area where such child resides;
(C) attending the schools of the local educational agency that serves the school attendance area where such child resides will impose a substantial hardship on such child;
(D) the State in which such child attends school provides funds for the education of such child on the same basis as all other public school children in the State, unless otherwise permitted under section 7709(b) of this title; and
(E) such agency received a payment for fiscal year 1999 under section 7703(b) of this title on behalf of children described in paragraph (1).
(d) Timely payments
(1) In general
(2) Payments with respect of fiscal years in which insufficient funds are appropriated
(Pub. L. 89–10, title VII, § 7010, formerly title VIII, § 8010, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3767; amended Pub. L. 106–398, § 1 [[div. A], title XVIII, § 1813], Oct. 30, 2000, 114 Stat. 1654, 1654A–387; Pub. L. 112–239, div. A, title V, § 563(b)(3), (c)(4), Jan. 2, 2013, 126 Stat. 1747, 1748; renumbered title VII, § 7010, and amended Pub. L. 114–95, title VII, §§ 7001(a)(1), (c)(2), (d)(3), (6), 7010, Dec. 10, 2015, 129 Stat. 2074, 2087.)
§ 7711. Administrative hearings and judicial review
(a) Administrative hearings
(b) Judicial review of secretarial action
(1) In general
(2) Findings of fact
(3) Review
(Pub. L. 89–10, title VII, § 7011, formerly title VIII, § 8011, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3768; amended Pub. L. 106–398, § 1 [[div. A], title XVIII, § 1814(a)(1), (b)], Oct. 30, 2000, 114 Stat. 1654, 1654A–387; renumbered title VII, § 7011, and amended Pub. L. 114–95, title VII, §§ 7001(c)(2), 7011, Dec. 10, 2015, 129 Stat. 2074, 2087.)
§ 7712. Forgiveness of overpayments
Notwithstanding any other provision of law, the Secretary may forgive the obligation of a local educational agency to repay, in whole or in part, the amount of any overpayment received under this subchapter, or under this subchapter’s predecessor authorities, if the Secretary determines that the overpayment was made as a result of an error made by—
(1) the Secretary; or
(2) the local educational agency and repayment of the full amount of the overpayment will result in an undue financial hardship on the agency and seriously harm the agency’s educational program.
(Pub. L. 89–10, title VII, § 7012, formerly title VIII, § 8012, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3769; amended Pub. L. 106–398, § 1 [[div. A], title XVIII, § 1815], Oct. 30, 2000, 114 Stat. 1654, 1654A–387; renumbered title VII, § 7012, Pub. L. 114–95, title VII, § 7001(c)(2), Dec. 10, 2015, 129 Stat. 2074.)
§ 7713. DefinitionsFor purposes of this subchapter:
(1) Armed Forces
(2) Average per-pupil expenditureThe term “average per-pupil expenditure” means—
(A) the aggregate current expenditures of all local educational agencies in the State; divided by
(B) the total number of children in average daily attendance for whom such agencies provided free public education.
(3) ConstructionThe term “construction” means—
(A) the preparation of drawings and specifications for school facilities;
(B) erecting, building, acquiring, altering, remodeling, repairing, or extending school facilities;
(C) inspecting and supervising the construction of school facilities; and
(D) debt service for such activities.
(4) Current expenditures
(5) Federal property
(A) In generalExcept as provided in subparagraphs (B) through (F), the term “Federal property” means real property that is not subject to taxation by any State or any political subdivision of a State due to Federal agreement, law, or policy, and that is—
(i) owned by the United States or leased by the United States from another entity;
(ii)(I) held in trust by the United States for individual Indians or Indian tribes;(II) held by individual Indians or Indian tribes subject to restrictions on alienation imposed by the United States;(III) conveyed at any time under the Alaska Native Claims Settlement Act [43 U.S.C. 1601 et seq.] to a Native individual, Native group, or village or regional corporation (including single family occupancy properties that may have been subsequently sold or leased to a third party), except that property that is conveyed under such Act—(aa) that is not taxed is, for the purposes of this paragraph, considered tax-exempt due to Federal law; and(bb) is considered Federal property for the purpose of this paragraph if the property is located within a Regional Educational Attendance Area that has no taxing power;(IV) public land owned by the United States that is designated for the sole use and benefit of individual Indians or Indian tribes; or(V) used for low-rent housing, as described in paragraph (10), that is located on land described in subclause (I), (II), (III), or (IV) of this clause or on land that met one of those descriptions immediately before such property’s use for such housing;
(iii)(I) part of a low-rent housing project assisted under the United States Housing Act of 1937 [42 U.S.C. 1437 et seq.];(II) used to provide housing for homeless children at closed military installations pursuant to section 11411 of title 42; or(III) used for affordable housing assisted under the Native American Housing Assistance and Self-Determination Act of 1996 (25 U.S.C. 4101 et seq.); or
(iv) owned by a foreign government or by an international organization.
(B) Schools providing flight training to members of Air Force
(C) Non-Federal easements, leases, licenses, permits, improvements, and certain other real propertyThe term “Federal property” includes, whether or not subject to taxation by a State or a political subdivision of a State—
(i) any non-Federal easement, lease, license, permit, or other such interest in Federal property as otherwise described in this paragraph, but not including any non-Federal fee-simple interest;
(ii) any improvement on Federal property as otherwise described in this paragraph; and
(iii) real property that, immediately before its sale or transfer to a non-Federal party, was owned by the United States and otherwise qualified as Federal property described in this paragraph, but only for one year beyond the end of the fiscal year of such sale or transfer.
(D) Certain Postal Service property and pipelines and utility linesNotwithstanding any other provision of this paragraph, the term “Federal property” does not include—
(i) any real property under the jurisdiction of the United States Postal Service that is used primarily for the provision of postal services; or
(ii) pipelines and utility lines.
(E) Property with respect to which State or local tax revenues may not be expended, allocated, or available for free public educationNotwithstanding any other provision of this paragraph, “Federal property” does not include any property on which children reside that is otherwise described in this paragraph if—
(i) no tax revenues of the State or of any political subdivision of the State may be expended for the free public education of children who reside on that Federal property; or
(ii) no tax revenues of the State are allocated or available for the free public education of such children.
(F) Property located in the State of Oklahoma owned by Indian housing authority for low-income housingThe term “Federal property” includes any real property located in the State of Oklahoma that—
(i) is owned by an Indian housing authority and used for low-income housing (including housing assisted under or authorized by the Native American Housing Assistance and Self-Determination Act of 1996 [25 U.S.C. 4101 et seq.]); and
(ii) at any time—(I) was designated by treaty as tribal land; or(II) satisfied the definition of Federal property under section 403(1)(A) of the Act of September 30, 1950 (Public Law 874, 81st Congress) (as such Act was in effect on the day preceding October 20, 1994).
(6) Free public educationThe term “free public education” means education that is provided—
(A) at public expense, under public supervision and direction, and without tuition charge; and
(B) as elementary or secondary education, as determined under State law, except that, notwithstanding State law, such term—
(i) includes preschool education; and
(ii) does not include any education provided beyond grade 12.
(7) Indian lands
(8) Local contribution percentage
(A) In general
(B) Hawaii and District of Columbia
(9) Local educational agency
(A) In generalExcept as provided in subparagraph (B), the term “local educational agency”—
(i) means a board of education or other legally constituted local school authority having administrative control and direction of free public education in a county, township, independent school district, or other school district; and
(ii) includes any State agency that directly operates and maintains facilities for providing free public education.
(B) ExceptionThe term “local educational agency” does not include any agency or school authority that the Secretary determines on a case-by-case basis—
(i) was constituted or reconstituted primarily for the purpose of receiving assistance under this subchapter or the Act of September 30, 1950 (Public Law 874, 81st Congress) (as such Act was in effect on the day preceding October 20, 1994) or increasing the amount of such assistance; or
(ii) is not constituted or reconstituted for legitimate educational purposes.
(10) Low-rent housing
(11) ModernizationThe term “modernization” means repair, renovation, alteration, or construction, including—
(A) the concurrent installation of equipment; and
(B) the complete or partial replacement of an existing school facility, but only if such replacement is less expensive and more cost-effective than repair, renovation, or alteration of the school facility.
(12) Revenue derived from local sourcesThe term “revenue derived from local sources” means—
(A) revenue produced within the boundaries of a local educational agency and available to such agency for such agency’s use; or
(B) funds collected by another governmental unit, but distributed back to a local educational agency in the same proportion as such funds were collected as a local revenue source.
(13) School facilitiesThe term “school facilities” includes—
(A) classrooms and related facilities; and
(B) equipment, machinery, and utilities necessary or appropriate for school purposes.
(Pub. L. 89–10, title VII, § 7013, formerly title VIII, § 8013, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3769; amended Pub. L. 106–398, § 1 [[div. A], title XVIII, § 1816], Oct. 30, 2000, 114 Stat. 1654, 1654A–387; renumbered title VII, § 7013, and amended Pub. L. 114–95, title VII, §§ 7001(c)(2), 7012, Dec. 10, 2015, 129 Stat. 2074, 2087.)
§ 7713a. School facilities for children of Government employees and other residents in Indian reservations, national parks, and national monuments

In order to facilitate the providing of educational opportunities for children of Government employees and other residents in Indian reservations, the national parks and national monuments the Secretary of the Interior is hereby authorized in his discretion to make available for elementary school purposes therein, without charge, space in Government-owned buildings, when such space may be available for such purposes without detriment to the official business of such Indian reservations, national parks and national monuments.

(July 16, 1940, ch. 629, 54 Stat. 761.)
§ 7714. Authorization of appropriations
(a) Payments for Federal acquisition of real property
(b) Basic payments; payments for heavily impacted local educational agencies
(c) Payments for children with disabilities
(d) Construction
(e) Facilities maintenance
(Pub. L. 89–10, title VII, § 7014, formerly title VIII, § 8014, as added Pub. L. 103–382, title I, § 101, Oct. 20, 1994, 108 Stat. 3772; amended Pub. L. 105–78, title III, Nov. 13, 1997, 111 Stat. 1498; Pub. L. 106–398, § 1 [[div. A], title XVIII, § 1817], Oct. 30, 2000, 114 Stat. 1654, 1654A–388; Pub. L. 107–110, title VIII, § 805, Jan. 8, 2002, 115 Stat. 1956; renumbered title VII, § 7014, and amended Pub. L. 114–95, title VII, §§ 7001(c)(2), (d)(1), (6), 7013, Dec. 10, 2015, 129 Stat. 2074, 2088.)